Israel's Mizrahi-Tefahot Bank Rejects $342 Million U.S. Tax Evasion Settlement Offer

Israel-based bank Mizrahi-Tefahot has rejected an offer $342 million as part of a settlement of a tax evasion investigation, the bank announced Tuesday. The offer was extended to the bank by the U.S. Department of Justice following an investigation pertaining to suspicions that the bank helped American clients evade taxes. The conduct of two other Israeli bank, Bank Leumi and Bank Hapoalim was also probed as part of the same investigation which started in 2011. In 2014, Leumi agreed to pay $270 million to close the case.

Mizrahi-Tefahot stated the Department of Justice did not supply an explanation for the sum set to close the case. It alleged in its announcement that the alleged offenses merit a "significantly lower" sum.